Las Vegas’s $8.5 billion City Center complex has tried for years to hang on to the high value it set at the height of the economic boom there for the condo units, but it said Friday that it is caving in to the market reality and selling a large part of its remaining stock in bulk at cut-rate prices.

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A new luxury shopping mall at the City Center Crystals in March in Las Vegas.

City Center co-owner MGM Resorts International said it is selling 427 units at its Veer towers for $119 million – an average of around $278,000 per unit –to a single investor, the financial firm Ladder Capital Finance Holdings LLLP. The prices represent around $300 per square foot.

The move is something of an admission that unlike some other cities that have seen prices perk up, in the long-suffering Las Vegas, the market for luxury real estate isn’t getting much better anytime soon.

As recently as April City Center residential executive Tony Dennis said he was confident that the luxury condo market had hit bottom and that the company could get the market moving by cutting prices for a second time by around 25%. At that point prices at Veer were around $315,000, down from the $500,000 initially sought.

The company has sold two units at its Veer tower since April for prices of $461 per square foot and $488 per square foot, according to Applied Analysis, a firm that tracks real estate sales. It also sold two units at its more luxurious Mandarin Oriental tower.

“We found that the recovery that occurred in other markets wasn’t as significant or material here,” Mr. Dennis said in an interview Friday. “It took longer than I expected back in April, frustratingly so.”

Ladder Capital’s chief executive said in a statement that the company is “confident about the investment potential of these condos.”

“We bought these condos in bulk on a reasonable basis and Vegas is one of the condo markets that has not yet come back, but we think it will,” Brian Harris said.

City Center had been marketed during the height of the real estate boom before the recession hit as a lively mixed-use new urban center on the Las Vegas Strip—complete with condos, gambling, shopping and hotels. But the number of condos was scaled back as the economy cooled and because one of the towers was halted by a construction defect. Between the two components that now have condos—the Veer Towers and Mandarin Oriental—there are nearly 900 condos.

Since the opening the company tried to make the properties more enticing by adding services like a concierge and giving owners who bought directly from MGM high-level status in the company’s loyalty program, Mr. Dennis said.

City Center, a joint venture between MGM and Dubai World, has taken a $700 million write-down on its condo units. Mr. Dennis said the company will not have to take further losses.

With around 98% of the units at its Veer Towers now complete following the bulk deal, MGM hopes to focus on its 150 remaining higher end units at the Mandarin Oriental.

While the price of the Veer units is far below the original or even recent asking prices, it is still above the prices that condos at some other luxury high-rise towers in Las Vegas are going for, Mr. Dennis said.

“The new energy and new money indicates the tide has turned,” Mr. Dennis said.